If you’re self-employed and haven’t quite hit the two-year mark in business, chances are you’ve already heard this phrase: “Come back when you have two full years of tax returns.” It’s frustrating. But it’s not the whole story.

While many banks and lenders have strict policies, not all of them paint with the same brush. Today, more Australians are finding out that home loans self-employed under 2 years are possible and they don’t always require miracles or massive deposits.

Here’s how the landscape is shifting, and how you can move forward even if your business is still in its early days.

The Myth of the Two-Year Rule

Traditionally, lenders wanted two years of full financials, tax returns, profit and loss statements, and everything else. It was their way of proving consistency and income stability.
But in reality, many newer businesses are profitable far sooner. Lenders know that. Some now consider applicants with 12 months of trading history, as long as other factors line up well. Think:
● A solid deposit (usually 20% or more)
● Clear evidence of ongoing income
● A clean credit file
● BAS statements, invoices, or bank statements to support your earnings
In other words, self employed home loans without two full years of tax returns are tough, but far from impossible.

Which Lenders Offer Flexibility?

Not every lender offers low-doc or alt-doc loans, but many specialist lenders and even some big names are now offering flexible solutions.

If your income is stable, your expenses are under control, and you can show a consistent cash flow using BAS or bank statements, you may be able to qualify sooner than you think.

These home loans self-employed under 2 years often come with slightly higher interest rates or require a stronger deposit, but they’re a real path forward for growing businesses.

Documents That Can Help Strengthen Your Case

You might not have two full tax returns, but here’s what you can prepare to give lenders confidence:
● 12+ months of business bank statements
● Recent BAS returns
● Letters from your accountant verifying income
● Invoices showing regular client payments
● Asset and liability statements
These alternatives can often support your self employed home loan application when traditional financials are still in development.
What About Interest Rates?
It’s true that some loans designed for newer self-employed applicants may come with slightly higher rates. But this isn’t permanent.
Once you’ve had your loan for a while and can show more consistent financial history, many lenders will let you refinance at a more competitive rate.
That’s why it’s important not to just chase the lowest rate from the start. Focus instead on access, approval, and flexibility.
Don’t Let One “No” Stop You
Many brokers work with a narrow panel of lenders. If yours says you’re not eligible, it doesn’t necessarily mean the industry agrees.
Plenty of lenders, especially non-bank and specialist lenders, cater to small business owners, contractors, and freelancers.
If your broker isn’t exploring those self employed home loan options, it might be time to talk to someone who will.
Smart Moves While You Wait for Two Years
If you’re not quite ready to apply, don’t sit still. There are things you can do now to boost your profile:
● Keep business and personal finances clearly separated
● Pay down any personal debts
● Work on building up your deposit
● Save your BAS and bank statements consistently
● Talk to a lender or broker to understand your current standing
These steps not only increase your chances of qualifying for home loans self-employed under 2 years, they also help you secure better rates and terms later on.

Final Thought

Getting a home loan when you’re self-employed and under two years in can feel like a closed door. But it’s more of a side entrance. You just need to know where to knock.

With the right paperwork, lender, and advice, self employed home loans are more accessible than they’ve ever been. The two-year rule isn’t gone, but it’s no longer a hard stop.
Loan Easy helps Australians who run their own show break through those old lending barriers. Whether you’re 6 months or 16 months into your business, we’ll help you explore what’s actually possible, not just what most brokers say.
Because the right lender won’t just see your paperwork. They’ll see your potential.